Introduction to Accounting Assessment – Foundation Diploma

The assessment for this module consists of two forms of assessment. Submission dates are as indicated.

Part

Type assessment

Word or

time limit

Mark

Submission method

Submission dates

AS1 – MCQ TEST

50%

BLACKBOARD

Refer to BLACKBOARD

AS2 – Written Assessment

1,000 Words

50%

Upload the ITA Assignment 2 as an attachment in PDF

format on BLACKBOARD

Refer to BLACKBOAR D

AS1 – MCQ TEST

AS2 – Written Assessment

Write My Assignment

💡 Struggling with Introduction to Accounting assignments at SMU?

Native Singapore Writers Team

100% Plagiarism-Free Essay
Highest Satisfaction Rate
Free Revision
On-Time Delivery

Q1 (20 marks)

Thomson Company is owned and operated by Sara Thomson. The following selected transactions were completed by Thomson Company during August:

Received cash from owner as additional investment $15,000.
Paid creditors on account $3,000.
Billed customers for services on account, $7,665.
Received cash from customers on accounts $5,645.
Paid cash to owner for personal use, $3,500.
Received electric bill $60, to be paid next month.

Indicate the effect of each transaction on the accounting equation:

1) By Account type – (A)assets, (L)liabilities, (O)owner’s (E)equity,

(R)revenue, and (E)expense

2) Name of Account for the entry

3) The amount by of the transaction.

4) Indicate the specific item within the account equation element that is affected.

Note: Each transaction has two entries.

		Entry					Entry
	Acct Type (1)	Name of Acct (2)	Amount (3)	Increase or Decrease (4)	Acct Type (1)	Name of Acct (2)	Amount (3)	Increase or Decrease (4)
1
2
3
4
5
6

Q2 (20 marks)

The assets and liabilities of Robinson Tree Services at May 31, 2018, the end of the current year, and its revenue and expenses for the year are listed below. The capital of the owner was $190,000 at June 1, 2017, the beginning of the current year. Additional information: Mr. Robinson made an additional investment of $15,000 during the year.

Accounts Payable $1,200 Miscellaneous Expense $220

Accounts Receivable $12,340 Office Expense $560

Cash $32,990 Building $143,670

Fees Earned $78,350 Wages Expense $26,770

Land $65,000 Drawing $3,000

Prepare a balance sheet for the current year ended May 31, 2018.

Q3 (20 marks)

Journalize the following selected transactions for August 2018 in a two-column journal. Journal entry explanations may be omitted.

Aug Received cash from the investment made by the owner, $15,000.

Received cash for providing accounting services, $8,000.
Billed customers on account for providing services, $4,000.
Paid advertising expense, $400.
Received cash from customers on account, $3,500.
Owner withdraws, $1,000
Received telephone bill, $100 8 Paid telephone bill, $100.

Q4 (20 marks)

Complete the following worksheet for Mantle Enterprises.

Mantle Enterprises

Worksheet

For the Year Ended December 31, 2018

	Adjusted Trial Balance		Income Statement		Balance Sheet
Account Title	Debit	Credit	Debit	Credit	Debit	Credit
Cash	16,000
Accounts Receivable	6,000
Supplies	2,000
Equipment	19,000
Accumulated DeprEquip		6,000
Accounts Payable		10,000
Wages Payable		2,000
Mantle, Capital		7,000
Owner’s Equity		4,000
Mantle, Drawing	1,000
Fees Earned		47,000
Wages Expense	21,000
Rent Expense	6,000
Depreciation Expense	5,000
Totals	76,000	76,000
Net Income (Loss)

Q5 (10 Marks)

From the following data, determine for the current year the (a) rate earned on total assets, (b) rate earned on stockholders’ equity, (c) rate earned on common stockholders’ equity, (d) earnings per share on common stock, (e) price-earnings ratio on common stock, and (f) dividend yield on common stock. Assume that the current market price per share of common stock is $27. (Present key figures used in your computations.)

	Current	Preceding
	Year	Year
Current assets	$ 735,000	$ 820,000
Property, plant, and equipment	1,500,000	1,400,000
Current liabilities
(non-interest-bearing)	150,000	140,000
Long-term liabilities, 12%	400,000	400,000
Preferred 10% stock	250,000	250,000
Common stock, $25 par	1,200,000	1,200,000
Retained earnings:
Beginning of year	230,000	160,000
Net income for year	85,000	155,000
Preferred dividends declared	(25,000)	(25,000)
Common dividends declared	(60,000)	(60,000)

Q6 (10 marks)

On the basis of the following data for Teller Co. for 2018 and the preceding year ended December 31, 2018, prepare a statement of cash flows. Use the indirect method of reporting cash flows from operating activities. Assume that equipment costing $125,000 was purchased for cash and equipment costing $85,000 with accumulated depreciation of $65,000 was sold for $15,000; that the stock was issued for cash; and that the only entries in the retained earnings account were net income of $51,000 and cash dividends declared of $13,000.

	Year	Year
	2018	2017
Cash	$100,000	$ 78,000
Accounts receivable (net)	78,000	85,000
Inventories	101,500	90,000
Equipment	410,000	370,000
Accumulated depreciation	(150,000)	(158,000)
	$539,500	$465,000

Accounts payable (merchandise creditors)	$ 58,500	$ 55,000
Cash dividends payable	5,000	4,000
Common stock, $10 par	200,000	170,000
Paid-in capital in excess of par–
common stock	62,000	60,000
Retained earnings	214,000	176,000
	$539,500	$465,000

——————— END ———————-

Marking scheme

It should follow the standard report structure provided to you in lectures and will be awarded in the following areas:

Marking scheme for: Written Assignment
The following should be covered	Comments from marker	Mark awarded
Clear, well-structured format for the theory and problems solving		10/100
Presentation: All relevant sections clearly used and in a logical order Formatted appropriately using headings and subheadings for the solutions Used Appropriate academic language and key terms		25/100
Content: Has the purpose of the question been explained? Has the problem been clearly explained through steps Incorporated only relevant information to the chosen topic		25/100
Critical analysis and academic supporting evidence: Has critical analysis been used throughout the answer? Has a suitable range of appropriate supporting formulas and evidences been used and engaged with?		25/100
Summarised the contents and findings:		15/100
Has a clear summary of the information and findings been presented in the form of final answers?

Introduction to Accounting

If you are not sure whether the way you are working meets our requirements, you should talk to your personal tutor, module tutor or other member of academic staff. They will be able to help you and tell you about other resources which will help you develop your academic skills.

Procedures for assessment offences

An assessment offence is the general term used to define cases where a student has tried to get unfair academic advantage in an assessment for himself or herself or another student.

We will fully investigate all cases of suspected assessment offences. If we prove that you have committed an assessment offence, an appropriate penalty will be imposed which, for the most serious offences, includes expulsion from Amity Global Institute.

💡 Looking for reliable Introduction to Accounting assignment support at SMU?

Get A Free Quote

University	Singapore Management University (SMU)
Subject	Introduction to Accounting

Introduction to Accounting Assessment Questions | SMU, Singapore